Lee was born near Bergen in Norway and at a young age moved with his parents to the United States.

Lee was the brother-in-law of Hans Gunderson and Lyman Burgess, both of whom served as members of the Dakota Territory House of Representatives.

In 1896, Lee ran for Governor of South Dakota on the Populist ticket and beat A. O. Ringsrud of Elk Point by only 319 votes.

Lee lost in a Republican landslide, which ended the political influence of the Populists in South Dakota.

Andrew Lee died at his home in Vermillion, South Dakota, on March 19, 1934, the day after his 87th birthday.